Music streaming service Rdio has launched Vdio – a new site for users to download and rent streaming movies and TV shows.

The site, which puts the company one step further to becoming a fully–fledged iTunes competitor, is currently in private beta and only available to Rdio Unlimited subscribers in the UK and US but should be rolling out in other territories soon. Rdio subscribers who choose to sign up will be given a $25/£20 credit to go towards the purchase of films and TV shows.

Unlike Rdio, which uses a monthly subscription payment model, Vdio adopts an iTunes–like payment system where users can rent or purchase media. The only real difference here is that everything is streamed from Vdio’s servers as opposed to being downloaded.

In terms of pricing, Vdio appears to be pretty competitive with iTunes, movies cost around £2.99 to rent (although Vdio doesn’t make it clear whether this is SD or HD quality) compared to £3.49 on Apple’s own store.

If you’re desperate to try out Vdio, anyone who signs up to Rdio Unlimited within the next 60 days will also gain access as well as the free credit to get started with.